Economic and Investment Analysis from a former Punk Rocker and Healthcare Economist. Economic analysis of international issues, domestic matters, and anything that could affect your investment portfolio in this Secular Bear Market. But there is more, lots more. From the Fed to funky 70's cinema, everything is up for trenchant comment and sophomoric smear. Funny, irreverant, often irrelevant. Welcome to the Desert of the Real!

Wednesday, August 15, 2007

HOLD? FOLD?

Whenever gas goes up, stocks go down, or or a celebrity stumbles, the obligatory "man on the street" stories fill the media vacuum.

In light of the stock market's recent sell-off, what is your current strategy?

Buying 33% Holding tight 56% Selling 13% 371576 Votes to date

While not a scientific sample, it is probably fairly representative of the average investor. Holding tight wins by several lengths. But it is the poorest strategy to employ. When prices fall, you sell if you are bearish or buy more if you are bullish. Yet 56% of respondants stand pat and lose capital. Or miss better opportunities (if there are any).

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